The head of Tennessee's campaign finance watchdog advises former Sen. Brian Kelsey, who is trying to overturn his federal campaign finance conviction, that he can't use political action committees to pay his lawyers. did.
Kelsey, a Germantown Republican, transferred $196,833 from his state campaign account to Red State PAC last summer and changed attorneys twice before deciding whether the money could be used to pay for legal fees in a federal case. A legal opinion was sought.
Bill Young, executive director of the Office of Ethics and Campaign Finance, told Red State PAC Chair Jennifer Martinez (Memphis) in November that state law “prevents candidates from spending their campaign funds as campaign funds.” It issued an advisory opinion stating that it is prohibited. “The candidate's own personal use” prevented PAC funds from being spent on Kelsey's legal costs.
Young said it was his opinion that Red State PAC “should not use” its funds for this purpose, and that such use would violate state law.
(Read more: Former Tennessee Rep. Brian Kelsey stays out of jail despite challenging sentence)
Mr. Kelsey pleaded guilty two years ago to directing a scheme in which money from his state account was funneled through two PACs to the American Conservative Union, which was responsible for Mr. Kelsey's unsuccessful 2016 U.S. Congressional campaign. made significant radio/digital spending. Because state and federal campaign funds fall under different guidelines, such a transfer of funds violates federal law.
The former state lawmaker reversed his guilty plea, claiming that the birth of his twin sons and the illness of his father, who has since passed away, negatively influenced his decision. He also said he doesn't understand the criminal justice system, even though he earned a law degree from Georgetown University and served as chairman of the Senate Judiciary Committee.
U.S. District Judge Waverly Crenshaw sentenced Kelsey to 21 months in prison, but ordered him to be released on bond while Kelsey makes his arguments before the Sixth Circuit Court of Appeals. He has admitted to the crime and is aiming to have his allegations reversed or at least not serve any prison time.
Need money to hire a new lawyer
Martinez, the PAC chairman, wrote in the letter that the majority of Kelsey's legal costs were fixed payments to a lawyer who Kelsey subsequently fired. Martinez said he personally spent $422,570 in legal fees and the defense fund paid $107,000 on his behalf, bringing the total to $529,570.
Kelsey initially hired defense attorneys Paul Bruno, David Rivera and Jerry Martin, but fired them when he decided to withdraw his guilty plea. He also released another lawyer, David Warrington, before settling on Alex Little and Zachary Lawson, who will represent him from mid-2023.
Martinez said in the letter that Red State PAC has received numerous donations from Kelsey's reelection account over the years to support other candidates, including on June 1. That included $196,883 in donations, after which Kelsey said he closed his reelection account. In her letter, Martinez said that while Kelsey is a director of Red State PAC and that she solicits and accepts donations to the PAC and makes recommendations, she has “sole authority” to spend her funds. said to her.
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But Young noted that the money would be used to pay for legal costs in matters that are “at most closely related” to Kelsey's candidacy for state senate. Additionally, Young said the funds would be used to defend Kelsey's “individual capacity to violate federal law,” making it a personal use prohibited by state law.
Furthermore, Mr. Young said that given Kelsey's position as a PAC officer and the possibility that Red State PAC would be involved in an investigation that would lead to criminal proceedings, it was unclear whether PAC would be allowed to pay for the litigation. “I couldn't accept it,” he said.
Ultimately, Young said Tennessee law “prohibits” Red State PAC from using the $196,883 it received from Kelsey's campaign account to pay for legal fees in the federal case. He said it was his own opinion. Mr. Young encouraged Mr. Martinez to seek guidance and explanation from the Federal Election Commission and the U.S. Attorney's Office.
Young also said in a separate advisory opinion that Red State PAC cannot hand over money to nonprofits to pay for Kelsey's legal costs.
For more information, visit TennesseeLookout.com.
